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February 7, 2023
The cost of handling returns can have an enormous effect on a logistics facility’s bottom line. Unless action is taken the problem can only get worse as omnichannel shopping becomes increasingly prevalent and the rate of returns continues to rise. Any returns that simply languish on shelves are a drain on the bottom line as they take up valuable space, do not bring a financial return and can easily depreciate in value. So what can be done?
One of the key challenges to handling returns is the many manual touches involved in the process. But what if the logistics center could remove many of those steps to reduce the labor required and the time taken to make the returns available for sale again?
BEUMER’s pouch technology eases the handling of returns by placing each item directly into a pouch that circulates on an overhead conveying system rather than sending it back to the shelf or regular storage, where it has to be picked again if it is ordered. The pouch system serves as an intermediate buffer for return items, which are typically sold again within three days. Returns needed to fulfil an order are automatically retrieved from this dynamic buffer and sent direct to sortation. In this way, the pouch system dramatically reduces the cost of handling returns; the fewer times an item is touched – and the shorter and cleaner the process – the more value the item retains.
Read the rest of the article here: https://www.ajot.com/news/pouch-technology-and-data-the-future-of-optimizing-reverse-logistics?utm_medium=email&utm_content=urpVcZPsLBlYryh_FPO4WIgSRmr4uSCmg_lxhKhbaQEiecF12Tedrx6S6g9dnZc9